The Wall Street stock exchanges closed with declines that moderated in the last hour of trading compared to the violent opening, and at the end of the trading day the leading indices closed without any substantial change. The Nasdaq index corrected decreases of 2.3% at the opening to a decrease of 0.2% at the close, the S&P 500 and Dow Jones indices closed unchanged.
Microsoft lost just 0.6% after extreme swings in late trading last night following the reports and downgrading the forecast on the conference call. Alphabet stood out with a 2.5% drop in the shadow of the regulatory threat.
After publishing disappointing reports, the Boeing share copied the declines it registered at the beginning of trading and ended with a 0.3% increase. The airline unexpectedly ended the quarter with a loss.
Tesla released after-market reports and beat earnings and revenue forecasts. On the other hand, Tesla missed the gross profit margin forecast. The profit per share amounted to 1.19 dollars, compared to the forecasts for a profit of 1.12 dollars per share. Revenues increased by 37% compared to the corresponding quarter and amounted to $24.31 billion in the fourth quarter of 2022, compared to forecasts for revenues of $24.07 billion. The stock is up 0.7% in late trading. The operating profit increased by 16%, vehicle deliveries increased by 31%, but on the other hand, the free flow decreased by 49% to 1.4 billion dollars.
16:30
Trading on Wall Street opened with sharp declines in the shadow of the report season. The Dow Jones loses 0.66%, the S&P 500 falls 1.1%, and the Nasdaq loses 1.7%.
Microsoft loses 3% after a disappointing outlook for the first quarter, Boeing loses 2.4% after publishing disappointing reports before trading. The company reported a loss of $1.75 per share on revenue of $19.98 billion. In the market, the analysts expected a profit of 0.27 dollars per share on revenues of 20.37 billion dollars.
15:30
Trading on Wall Street is expected to open with price decreases in the leading indices, following the negative closing last night, except for the Dow Jones which stood out positively with a 0.3% increase. After trading closed, Microsoft, the first technology giant and the company with the second largest market capitalization on the Nasdaq, published a weak forecast for the first quarter. The stock went from sharp gains in late trading to drops of about 2.5% in pre-trade and it is pulling the entire market with it.
The report season will continue today as well with a variety of reports published before trading (more details below). After the lockdown, Tesla and IBM will focus on the center of attention and not only that, they will also publish Service Now (NOW), Lam Research (LRCX), CSX Railway Company, Crown Castle (CCI), Las Vegas Sanders (LVS) and more.
European stock markets are losing ground, the DEX and the KAC are losing about 0.4%, the British Post is losing 0.2%.
Asian stock markets continue partial trading on the occasion of the Chinese New Year, Australia lost 0.3%, the Japanese Nikkei strengthened by 0.35%.
The price of light crude oil traded unchanged just above 80 dollars per barrel.
Shares in titles
Next America (NEE) loses 4% in advanced trading after the reports for the second quarter of the year met the profit forecast and missed the revenue line.
Boeing ( BA ) is down 2% in early trading after weak reports with a bigger-than-expected loss and weak revenue. The market is disappointed by the recovery in the field as the company notes that there is still a lack of regular supply.
AT&T ( T ) is up 1.8% in early trade after posting good reports with subscriber growth but providing a slightly weaker outlook for 2023.
Abbott (ABT) is losing 2.5% in early trading after publishing reports that beat forecasts but showed a significant drop in revenue and profit compared to the same quarter last year and against the backdrop of the investigation into the baby food factory.
Enphase (ENPH) loses 4% in early trading after Piper & Sandler downgrades its buy recommendation to hold.
Intuitive Surgical (ISRG) is down 9% in early trading after the company released weak reports for the last quarter of the year in which it missed the revenue and earnings per share line.